Participatory Design (PD) has played a pivotal role in broadening the horizons of Design by fostering new forms of social engagement in the public sphere. However, the emerging social, economic, and environmental challenges of these times force us to question and reconsider our work from a slightly shifted perspective. This paper introduces a case study that employs Donna Haraway's (1988) concept of "situated knowledge" to reframe the practice of PD in the context of urban regeneration. By emphasizing the situatedness of knowledge and acknowledging the diversity of perspectives within the Nolo neighbourhood (Milan, Italy), this approach aims at co-creating inclusive, context-specific discourses with the help of the local communities. The work presented here explores how this epistemological shift can address the challenges of engaging with diverse human and non-human communities through the utilization of the Situated Vocabulary—an ongoing research project activated within the framework of the urban living lab of Off Campus Nolo.